So property is worth less than the balance of the mortgage?? If so, you should contact the mortgage company a request approval for a short-sale or deed-in-lieu of foreclosure.
A short-sale is where you sell the property for the properties value even though it does not satisfy the mortgage entirely. The mortgage company would agree to satisfy the mortgage anyqay.
A deed-in-lieu is where you essentially deed the property to the mortgage company and they satisfy the mortgage.
Obviously there motivation is to avoid all of the legal fees associated with a foreclosure and your motivation is to walk away without a deficiency judgement that will follow you around for many years to come.
Keep in mind, the mortgage company is under no obligation to comply with your request and if they do, it will only be after they have done a feasability study which will include an appraisal that you will probably pay for. If they don't feel it's feasable, they'll foreclose soon after you stop making payments.
I am not attorney, rather a mortgage consultant with past experience in the foreclosure end of things.
[This message has been edited by David J. Miller (edited November 01, 2000).]